China’s government is trying to clean up the corporate sector by improving the quality of listed companies and in July its securities regulator amended rules on the criteria for delistings to beef up corporate governance.

“Zhonghong will become the first company to be forced to terminate its listing because its share price has been continuously trading below par value,” the Shenzhen exchange said on its website, without specifying the delisting date.

Shares in Zhonghong, which were halted after trading at 0.740 yuan on October 18, will enter a delisting period of 30 trading days from November 16 and will be delisted thereafter.